ATLANTA, Nov. 15 /PRNewswire-FirstCall/ -- GeoVax Labs, Inc. , an Atlanta-based biotechnology company (the "Company"), today announced its financial results and provided an operational update for the quarter ended September 30, 2007.
Financial Results for the Quarter Ended September 30, 2007
The Company recorded a net loss of $1,165,509 for the three months ended September 30, 2007, compared to $283,434 for the same period in 2006. For the nine months ended September 30, 2007, the Company's net loss was $3,085,926 as compared to $426,890 in 2006. The increase in the net loss during 2007 is attributable to (a) no grant revenues recorded during the first nine months 2007, (b) higher research and development expenses as the Company continued to support its four ongoing Phase I human AIDS vaccine clinical trials and prepares for initiation of Phase II trials, (c) overall higher general and administrative expenses primarily due to the additional costs associated with being a public company subsequent to the merger between Dauphin Technology, Inc. and GeoVax, Inc. in September 2006., and (d) $928,302 of share-based compensation expense recorded in 2007, compared with $- 0 - for 2006. As of September 30, 2007, the Company reported cash balances totaling $731,976.
See the summarized financial information attached. Further information concerning the Company's financial position and results of operations are included in its Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission.
Management Commentary
Donald Hildebrand, Chief Executive Officer of GeoVax, commented, "We continue to be excited about the promise of our AIDS vaccine technology. We are particularly encouraged by the recent $15 million grant award from the NIH, which we view as a strong validation of the prospects for our vaccine. We also are very pleased with the additional positive results we've seen for both our full and 1/10th dose groups in our Phase I human trials. These results are extremely encouraging and provide a strong foundation for proceeding with phase 2 human testing.
Hildebrand continued, "As with all biotechnology companies, fund-raising is a challenge and it's no different with GeoVax. Although the $15 million grant from the NIH will fund a portion of our existing operations, part of the grant is earmarked for new projects requiring incremental spending. And, while we are disappointed with the inability of Pure Capital to fulfill its recent financing commitment to us, we believe in our ability to secure other sources of capital and continue our ongoing activities."
About GeoVax Labs, Inc.
GeoVax Inc. is an Atlanta, Georgia USA biotechnology company, established to develop, manufacture, license and commercialize human vaccines for diseases caused by HIV-1 (Human Immunodeficiency Virus) and other infectious agents. GeoVax's vaccine technology is protected by 20 issued and filed patent applications.
www.geovax.com
Safe Harbor Statement: All statements in this news release, not statements of historical fact, are forward-looking statements. These statements are based on expectations and assumptions as of the date of this press release and are subject to numerous risks and uncertainties which could cause actual results to differ materially from those described in the forward-looking statements. Risks and uncertainties include, but are not limited to, whether; GeoVax can develop and manufacture these vaccines with the desired characteristics in a timely manner, GeoVax's vaccines will be determined to be safe for use in humans, GeoVax's vaccines will be effective in preventing AIDS in humans, the vaccines will receive the regulatory approvals necessary to be licensed and marketed, GeoVax can raise the required capital to complete development of its vaccines, there is development of competitive products that may be more effective or easier to use than GeoVax's products, and other factors over which GeoVax has no control. GeoVax assumes no obligation to update these forward-looking statements, and does not intend to do so. Certain matters discussed in this news release are forward looking statements involving certain risks and uncertainties including, without limitations, risks detailed in the Companies Securities and Exchange Commission filings and reports.
CONTACT: Donald Hildebrand or Jennifer Nelms of GeoVax Labs, Inc.,
+1-404-727-0971
Web site: http://www.geovax.com/
